Bitcoin’s market dominance falls below 50%, and its price drops below the 200-day moving average. Will Bitcoin reach $20,000 or $30,000?
Bitcoin’s price has plunged by 10%, dropping from $29,000 to under $25,000. This happened due to a bearish divergence formation and the completion of a Double Top pattern.
The dominance of Bitcoin in the crypto market has fallen below 50%, and its price is now trading below a significant moving average called the 200-weekly moving average. At the same time, the crypto fear and greed index, which measures market sentiment, has fallen from a neutral score of 50 to a fearful score of 37 in just one day.
This has raised concerns about whether the price of Bitcoin might crash to $20,000.
Prominent Analyst Rejects Possibility of Bitcoin Plunge Below $25,000:
On August 18, CrediBULL Crypto shared an insight on X, noting a crucial detail that many overlooked during the recent crypto market decline. CrediBULL believes that Bitcoin (BTC) will surpass Ethereum (ETH) and most other altcoins in the upcoming months to achieve a new all-time high.
He pointed out that while ETH broke its support in the recent market decline, BTC held its local low, which he considers to be a significant sign. This pattern resembles a past correction before a rally to an all-time high, during which the overall bullish market structure remained unchanged.
CrediBULL Crypto drew a parallel to a similar situation in 2020 when BTC was at $10,000, just before the rally to $60,000+. He anticipates a similar mega rally, led by BTC, to new all-time highs (over $20,000).
CrediBULL Crypto doesn’t expect Bitcoin’s price to drop below $25,000. Other analysts like Rekt Capital and Crypto Birb share this optimistic view on Bitcoin despite the current negative sentiment.
In contrast, ETH’s price has rebounded to $1,683 after hitting a 24-hour low of $1,551. The possibility of Ethereum futures ETFs gaining approval from the US SEC has shifted traders’ outlook on ETH. However, several altcoins, including Conflux, XRP, Litecoin, ApeCoin, Bitcoin Cash, and Sei, experienced declines of more than 10% in the past 24 hours.
Traders are now waiting for a decision in the Grayscale vs SEC lawsuit, which could provide clarity on the approval of a spot Bitcoin ETF and offer direction in a period of uncertainty.
Important:Â Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
Join Cryptos Headlines Community
Follow Cryptos Headlines on Google News
